Person Arrested by GST Department for GST Fraud of Rs. 7 Cr using Bogus Bills Rs. 40 Cr

M/s S V Industrial Enterprises (GSTIN: – 06ACGPG7686J1Z6) Loha Mandi, Nehru Ground, NIT Faridabad was searched and it was discovered that the stated taxpayer was claiming and passing on false input tax credits. It was also discovered that the said taxpayer was taking out loans from bogus / non-existent Delhi-based companies that had been discovered to be non-existent or had been revoked suo-moto by tax authorities. This credit was likewise passed on to the receivers by the specified taxpayer.

The stated firm had obtained a bogus input tax credit of around Rs.40 crore in taxable value, resulting in a tax amount of approximately Rs.7 crore.

The accused was brought before the District Court in Faridabad, where the Hon’ble Court remanded him in judicial detention for 14 days. In addition, an investigation is underway.

The Government of Haryana reiterates that it has zero tolerance for receivers of bogus or fraudulent input tax credits, and that appropriate action, including arrest, will be taken against them under the terms of the HGST Act, 2017.